Why Are We So Weird When It Comes to Money | E144 Paco de Leon

Humans are weird whenever it comes to money. We drive five miles out of the way to save a few cents on gas. We buy things we don’t need because they’re on sale. We don’t ask for a raise although we’ve been working hard at the same place for years.

We all have irrational behaviors when it comes to money and a lot of this has to do with psychology. Common biases impact our ability to make logical decisions. You’ve probably heard of a couple of these biases before. Some examples include the sunk-cost fallacy, anchoring, mental accounting, the status quo, and the bandwagon effect.

Although we’ll never be able to truly rid ourselves of these biases, there are practices that you can put into place to make more rational decisions.

My friend Paco de Leon is on the show today to talk about some of the reasons why we do the things we do and she’ll share exercises you can do to recognize and recover from situations that are impacting how you think and behave when it comes to money.

Paco is the perfect partner to have this conversation with because she is thinking and talking about this subject all of the time. She is the host of Weird Finance, a podcast for creatives who are looking for explanations of complex financial concepts in a friendly, approachable way. 

I know you’re really going to enjoy this one so buckle up. I hope you enjoy my conversation with the 1st gen immigrant, TED speaker, and founder of The Hell Yeah Group…Paco de Leon.

Key Takeaways:

• Why we are built to pay attention to scarcity and how that impacts our relationship with money
• How we can make better decisions by understanding our window of tolerance
• Curbing impulse buying with the $100 buy list
• Enjoying simplicity
• How to get comfortable with money
• Mine Yours and Ours budget

More of Paco:

Podcast - Weird Finance: https://thehellyeahgroup.com/weird-finance-listen-now

Book - Finance for the People: https://thehellyeahgroup.com/finance-for-the-people

More of The Struggle is Real:

Find show notes and more at https://www.tsirpodcast.com/